Katherine Keenan, ABS head of national accounts, said: “Economic growth was soft in the March quarter. Public spending recorded the largest detraction from growth since the September quarter 2017. Extreme weather events reduced domestic final demand and exports. Weather impacts were particularly evident in mining, tourism and shipping.”
Public spending posted its largest detraction from growth since September 2017, with flat government final consumption and lower state spending on household energy relief. Meanwhile, household spending rose modestly by 0.4 per cent, following a strong December quarter, the ABS said in a press release.
GDP per capita fell 0.2 per cent, marking a return to decline after a brief rise in the previous quarter. On a positive note, the household saving ratio increased to 5.2 per cent, buoyed by higher gross disposable income and income support linked to Queensland’s severe weather.
Net trade detracted 0.1 per cent from growth in the March quarter and imports of goods also fell, driven by a range of capital goods, the release added.
ALCHEMPro News Desk (KD)
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